Ontario announces $10K grant program for small businesses, 24/7 off-peak hydro rates

The Government of Ontario is launching a couple of initiatives in an attempt to lessen the financial burden on residents and small businesses facing closure under due to its modified Step 2 of the Roadmap to Reopen.

First, the province is introducing a $10,000 Ontario COVID-19 Small Business Relief Grant.

Eligible small businesses include:

• Restaurants and bars;
• Facilities for indoor sports and recreational fitness activities (including fitness centres and gyms);
• Performing arts and cinemas;
• Museums, galleries, aquariums, zoos, science centres, landmarks, historic sites, botanical gardens and similar attractions;
• Meeting or event spaces;
• Tour and guide services;
• Conference centres and convention centres;
• Driving instruction for individuals; and
• Before- and after-school programs

Eligible businesses that qualified for the previous Ontario Small Business Support Grant, and that are subject to closure under modified Step 2, will be pre-screened to verify eligibility and will not need to apply to the new program. Newly established and newly eligible small businesses will need to apply once the application portal opens in the coming weeks. 

Small businesses that qualify can expect to receive their payment in February.

The Ontario government is also providing electricity-rate relief to support small businesses, as well as workers and families spending more time at home while the province is in this modified Step 2. 

For 21 days starting at 12:01 a.m. on Tuesday, January 18, 2022, electricity prices will be set, 24 hours a day, at the current off-peak rate of 8.2 cents per kilowatt-hour, which is less than half the cost of the current on-peak rate. 

The off-peak rate will apply automatically to residential, small businesses and farms who pay regulated rates set by the Ontario Energy Board and get a bill from a utility and will benefit customers on both Time-of-Use and Tiered rate plans.

“We know that spending more time at home means using more electricity during the day when prices are higher, that’s why we are moving to off-peak electricity rates 24 hours per day, seven days a week,” said Todd Smith, Minister of Energy. 

In addition, the province says online applications for its previously-announced Ontario Business Costs Rebate Program will open on January 18. This program will provide eligible businesses that are required to close or reduce capacity with rebate payments for up to 100 per cent of the property tax and energy costs they incur while subject to public health measures in response to the Omicron variant.